New goods and the skill premium

• 成果类型: Article
• 署名作者: Xiang, Chong
• 署名单位: Purdue University System; Purdue University
• 刊物名称: JOURNAL OF INTERNATIONAL ECONOMICS
• ISSN/ISSBN: 0022-1996
• DOI: 10.1016/j.jinteco.2006.03.002
• 发表日期: 2007
• 页码: 133-147
• 关键词: new goods; Skill premium; two-cone Heckscher-Ohlin model; preference-induced reversals; two-step solution method

摘要

In a two-cone Heckscher-Ohlin model with CES preferences and a continuum of goods, new northern goods increase the northern skill premium if they are skilled-labor intensive, and may increase the premium if they are unskilled-labor intensive. Thus, the introduction of new goods into US technology could have done more to increase the US skill premium than a closed-economy model would predict. I also explore how new northern goods affect the southern skill premium and what happens if they generate preference-induced reversals across existing goods. I develop a two-step solution method that simplifies comparative static analyses in the two-cone Heckscher-Ohlin model. (c) 2006 Elsevier B.V. All rights reserved.